Untitled Texas Attorney General Opinion

OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN Honomble J. P. Gibbs, Cmmissfoa~r Board of IMuranoe ComllerlonGr8 Auatln, Texas Dear sir1 Attcntlom Yr. VGO tiog with the Intar8tato on for a oartlflioateor aarvioo, it in agrud that raoelra the oum of l5$of of the truaklng opentlonr (8) prorldas 1x1subatranco that "S'Ssotlon if thm lndlvldusl or oonoern, entering into the oontraat, plaosa hl~ or their lnmranoe with Taok Plnkaton than and in that wont, the protlrlons of &&ion (11 beocme inopen- ..,,, Honorable J. 1..Glbba, Pago 2 tlvs dcrl 2;suet tips as the i~urrimce ia . oarrire. “Jac% Yhkston la authrfaad by the Board o+'Inasrcncs Comdaslonar8 tc act as an aesnt ln the lollaltatlonuna ths writ- ine Of tire an4 oa8Mlty inrruwnos in the stats of Toxaa. We r*apotWlly nouoat your oplaion as to whether the provlalona of tha attaeb- sb forz lra in rld.atlon OS tha prorlalona O? s~otlona 7 ana 8 or Art101e WBb, no- *lad Civil 8tatut.8.~ The above Iwntlond ionu reda as followa: "STATI!OF TNXAS I ccoT?TYOF NOLAN-b ( -'(I) That I, aus XICSBY 206 Elm St. slwsf":n oonciaerationor owtaln ur~Iooo rurdama and to be renders6 EU by Jook Yinkatos 8otlng ~lther.lndlri6rrally or through ilhir attorneya, agent8 or other employooa--To wltr Seaurlng and iuralahin# ma with full inform- tloa mgardlng the law, rule* and rqulatlozu partalnlng to my opantlnq furnlahing as dth a21 blmk8, foru a& mkrinla neammsry to filing an appllcatlon with tha Intoratato co8ueroe Coadaalon ror a aertltlc3ata or psrmlt preparing all auah p-spars Sor fll.Laq and flilag the asme; drlelng 90 regarding the type of taatlmonyrmpuimd and aaalatlng me tith the prepar&tlon Of the ama; furnfsh- ine;me wltb oompateat reproaontatlonat pJ haarlng and Iu~apingme fully ~.G~fuedat all tlmm aa to Uwelopnwnta in oonaootlon them- with3 and parioraing uhatmor other lanloea and assisting 30 to wh a ta ver lxtont my bo Honorable J. P. Olbba, Page S neasasary in obtaining a oart1rioat.a or par- mlt from the said Interstate CornmsroeCondo- alon ana auvloing saw for the llfo of aald crrtlfloateor permit - I do horaby oorsnant and agree to pay to the said Jaok Plnkston, at hla offloe in Dallas, Texas o r llamtbera as ha may de8lgaate, the sum of 8$ r mar of the gross earnlnga iron my truokrw opora- tlons, ior the life o? said oertlfloate or psmlt . "(L) It being orpraaaly provided, bar- svor, that ii I dsot to laoa auoh and all auoh lam~~noo as la or wf 11 bs rrpulrod by the Interstate Comeroe Commlaalon ootaring my opentlona under said certlrloak or per- mlt through whatoru ~hann~lm staybo doalg- hated by the add Jaok Plnlmton, than and in that want Rmgxmph (1) of this oontraot dull beoom litoperative Qurl% lwhtlm ad only&ring 8uehttir asm~lnaursnoo la so ourlad. Xn this lvent, I horeby authotize.the said Jaok Pinkoton to prepare and al5 tot ma any and all lwh dats and naoaaaary form in oonneatlon with the handllng of lwh lnauranoe. All premluma loorulng under awh insuranoo shall ba payawe at the offlor of Jaok Plnkaton in Dalla8, Tuaa or ds~wham 88 my be dealg- nnted by tha said Jaok Plnkaton. G(S) That 1 hve aado, oonatltuted and appolntd and by those prosonto do make, oonatitute and appoint JACK mmmo~ or Dalls8, M.laa Ccunty, Taaa, my trw add lawrul attorn- for me in my name, blaoo and atoad, to prapan and lisn So r ma a nya nc l all data and n~o*aauy foraa in oonnaotlon with my appUutlon for a owtifloate or pumlt to opuata aa a aiotoroarrler uador the Intoratati Oommaroa COmmiaaion., and to prapara and lubmlt any and all luoh data relating to any suoh oortlfloate or pamit or any ohangaa whloh may be neoeaaary to make ln auoh oertlilOat~ or Pemlt, and to do any Honorable J. P. Uibba, Big0 4 a ndever ay o ta ndlxarolae any 8n4 avery _ power that I u&&t ar oould 40 or lruola~ throughany other person, t&the aIn dam proper or adrlaablr in oonnaotlon with luoh oertlflcoteor pormlt. “f hornby bind myself, asp heln, axe- outon, dmlnhtmtorr an4 aaalgn8 to tul- SllJ. this contraat an4 agucwnt as above ltlpulat~. -~l~~~~~ban4 onthla tha eOth day or 1: , A.D. l&O. "STATS OF TM8 cwNTYoF NCUN. 1 *Boioro PO, the unauaignea authority, on this day pe4xmonallf lp p a a r GUS a d personallyknamu to ac, ana belog 7lt!sz& sworn, upon oath, dopuu anO 86yr that ha ha s oarafully a a a lmd 8llo i th eltlp ula - tlona, oodltion agrumonta a a d sat forth abova; that ho fully uabr8taaf38 thr lao a ndlo k no wldged to a ethat.ha b r a a x o Oute6 thla oontraot for and in ooa8ldrratlOnof the ltlpulatloaa therein oontalned. Vltna a rm yh a n4 a n4lul o f0fri00 this the 80th dar of Nowabrr IQ&. t?otarJ Piisno NOlml COMW lfuaa. T.X.A. Form No1 81-B" Saotlons 7 and S of Article 46Stb, Vuncn'a Anno- tated ciril Watutu, road a* r0lia: =8gO. 7. ft Shall bQ MbWftd for any lnaurar, as deilnod in this Aot, or Honorable J. P. Gibbs, Paso 8 _ its ortia4ra dlreotom, general at;ent,state a.:ents,speaial ai;4nt8,local agent8 or other rrpre8entatlve8,to gent to or aon- treat rith lneured for any rpealal fever or advantage in dIvldenA8 or other profita, or aw 4OBld88iOlU Or d.fYi8~OM Of OOEQfS8iOIl8 or profit8 to 400ru4 thereon, or any ace peneatlon di any rtiuable aonslderatloanot 4p4oiri44 in the polioy oontraat, or any indW4Bl44t not -44ifisd ill th4 pOliO7 OOIItMOt, $0~ th# pUrgO84 Of Writing th4 in8U4.444 Of My ia8Ur4. tfOthfIl& fathi. SeOtlon, h~~.Ver, 8u be ooiUtPue6 to prohibit m insurer troa rhosing it8 profita 4tt4r t&8 W68 &Y8 b44o 44I'Il4d With it* polioy holder8 uatfer sod in aaaorbmn44 with aa agreemeat a8 to mtoh profit mhrrlng oon- th8a in it8 pOxiOY OMtMOt. m PrOfit 8harlag tutit say polloy with lnaured @hall be uafior~ a8 bet~44n 8Wh lnnmd, and 8han OOMi8t Ody,aad 8014Ly bf M equitable distributionunder and in moordan dth the term8 Oi,the pO2iOy Ot 4aiaX'I.d~8 b4tW44n 8ueh in8ured,anA no 8uoh h4unr 8ha11 6f8- 0rtnie8 in 44 di8tributioa 0~0ritO betwoui iMUlvd Of a Oh80, U&d RO Oh8848 for rush di8trlbutioa 8&u b8 atda or 480 tabliahed exoept o&tthe 8ppMYal Of the C4EMi88iOa4r: X0 part of any proSit 8h4l.l b4 df8taXIt4a t&3say b4WSa Imd4? MY 8-h pallor onto% the expiration of the polloy ooatraot. Aay rlolatba oi theterm Of thi8 844tiOlP 8hrll OOlUtitUt4 U4%&I8t ai8oririaatioaaa 8bnll ooimtltuto rdmt- idI& Md 8bm b rtritiOi4IXt ground8 iOr the revocationor the petit of the Ia8ur4t or of t&4 11041144 of the agent being guilty of ruoh unjwt dl8orLPinationand rebating. wsaa. 8. So insurer aoslng within the t4=8 of thir *ot 8h411, in it4 bu8inew in t&&8 State akr or panit any dbtlnotioa or ai8Or faLtloa la favor of the insured hwing 4 1~4 hazard, in ths mtter ot the ohWg4 Of ~4ElfUJM for iIlllUFallO4, Or in diYidSlld8 or oth42 b4IMit8 pPb14 Ud4r Honorsble J. P. Glbb8, Pa1346 WY POliOY, aor 8ha11 any suab insurer or _ agmt make any oontraat of ln4urano4,or a(pwmnt 98 to such 1n.4ura304, other than lxpreued in the policy, no r ltrollany 8u4h inmarer or it8 a..wntaor represer?ta- tire8 pay, allow or diva, or Offer to gay, allow or give, aireotl~ or lndlreotly,a8 an indUO4iH4t to loused, any rebate pay- able upon the polity or any 8pealal favor or advaataae in dividend8 or other bea+ fitm to aoonte. 4r 4nythlngoof value vht- wevu, not 4p4Oiri4d in the pdiaf; pro- vided that notll in thi8 4Lofrhall be aon8trued to pro3 bit the mdlflcatlon of rat48 by an 4xp4riano4 rati= plan a48fgn4d to lnoourege the prevention of acoldmta and to take aaaount of the psculfu hwards of individualrl8k8, provfd4d 8uah plan 8h411 ban bmn 4~&W4V4d by the hWJli8- 8loaufi aad proylded further that only on4 8uoh &&all8h3.l be appR¶Y4d fOl-laoh iafm or lruurano4 hereunder.* ~4 believethat the offer to perfcum aad render til Of the-84nio48 MatiM in the first paMgraph Of th4 abo*r quotedfona withoutmnking the ohm&e for 8uoh ler - Vi048 a8 8p4Oifi4d thenlc prOrid th4 ill8W4d a-46 to ~1444 all lauuranoo a8 18 or will be required of him by the XnterrtatsCmua4r44 CaJmLi481On aovrring hi8 O~SXU- tlom under his oertifleateor penaft,throu&huhatetor ahanael8 a8 m6y be 448lgnated by the party pUfOnd45 the above mW&lOmd 84niO48 18 a OOiUid4S4tiOIl and in- dua4mat not 8p4cified in the pOuOy oontraot, for the purpoaa of &tin& the ineururos of the b8Ur4d. There- fore, it i8 OUr OpiniOllthat the RrOYi8iOW Of the above mntloned fonu are in aoatratentlonand violate S4atlok 9 or Artlole4Web, Vernoa'e ¬ated clril Stat&U. -8ting that th4 fOr4gOiAc fUll7 RA8W4r8 YOW inquiry,we are AFPROvE1)m 7, 1941 ATTORWIKGTXISRAI. OF TXXAS